While 29% of the 1002 urban consumers surveyed said that they do it primarily to improve it, 28% checked to prepare for a new credit card or apply for new loans.

The survey found that the young urban adults are among the most credit-vigilant in India with 49% aged between 18 and 24 years.

MUMBAI: If you thought credit scores are still alien concepts for Indian consumers think again, almost 74% of the respondents surveyed by the oldest credit bureau of the country TransUnion CIBIL said that they check their credit score atleast twice a year.

While 29% of the 1002 urban consumers surveyed said that they do it primarily to improve it, 28% checked to prepare for a new credit card or apply for new loans.

“Checking your CIBIL score and report before applying for a loan or credit line is an important step, but that should not be the only approach to credit management,” said Hrushikesh Mehta, vice president of TransUnion CIBIL’s Direct-to-Consumer business. “To be truly financially healthy, monitoring the information in your credit report should be treated as a credit health management exercise and should be done on a regular basis.”

A surprising 62% didn’t know that lenders check consumer credit scores in order to determine the terms of a loan, and 63% didn’t know that mobile contract providers may use CIBIL scores to set post paid credit limits.

Also, the survey found that the young urban adults are among the most credit-vigilant in India with 49% aged between 18 and 24 years who ever check their credit scores do so primarily in order to improve their scores, compared to a mere 20% of those 45 and older.

Similarly, from and amongst the survey participants, it appears that Indian consumers with high incomes of Rs 5,00,000 check their credit scores more often than those in lower income groups.

Specifically, 77% of middle-class consumers Rs 5,00,000 to Rs 49,99,999 per year checked their credit scores at least twice per year, compared with 65% of lower income consumers with less than Rs 4,99,999 per year. Indians with an income of Rs 50,00,000 or more per year are most likely to check their score twice per year.

“A credit score is an integral part of a consumer’s financial health,” said Mehta. “It can help them purchase a house, car or open a credit card, and these findings reveal a need for stronger credit education.”